Seek Returns logo

ADI vs. ADSK: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ADI and ADSK, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ADI’s market capitalization of 121.92 billion USD is substantially larger than ADSK’s 67.75 billion USD, indicating a significant difference in their market valuations.

With betas of 1.00 for ADI and 1.45 for ADSK, both stocks show similar sensitivity to overall market movements.

SymbolADIADSK
Company NameAnalog Devices, Inc.Autodesk, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySemiconductorsSoftware - Application
CEOVincent T. RocheAndrew Anagnost
Price245.68 USD316.66 USD
Market Cap121.92 billion USD67.75 billion USD
Beta1.001.45
ExchangeNASDAQNASDAQ
IPO DateMarch 17, 1980June 28, 1985
ADRNoNo

Historical Performance

This chart compares the performance of ADI and ADSK by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ADI vs. ADSK: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ADI

5.22%

Semiconductors Industry

Max
41.84%
Q3
15.81%
Median
6.31%
Q1
-5.54%
Min
-30.12%

ADI’s Return on Equity of 5.22% is on par with the norm for the Semiconductors industry, indicating its profitability relative to shareholder equity is typical for the sector.

ADSK

45.55%

Software - Application Industry

Max
59.01%
Q3
17.85%
Median
4.73%
Q1
-10.56%
Min
-52.94%

In the upper quartile for the Software - Application industry, ADSK’s Return on Equity of 45.55% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ADI vs. ADSK: A comparison of their ROE against their respective Semiconductors and Software - Application industry benchmarks.

Return on Invested Capital

ADI

4.52%

Semiconductors Industry

Max
30.91%
Q3
11.34%
Median
4.08%
Q1
-2.17%
Min
-19.59%

ADI’s Return on Invested Capital of 4.52% is in line with the norm for the Semiconductors industry, reflecting a standard level of efficiency in generating profits from its capital base.

ADSK

16.53%

Software - Application Industry

Max
35.07%
Q3
9.72%
Median
0.76%
Q1
-8.68%
Min
-34.12%

In the upper quartile for the Software - Application industry, ADSK’s Return on Invested Capital of 16.53% signifies a highly effective use of its capital to generate profits when compared to its peers.

ADI vs. ADSK: A comparison of their ROIC against their respective Semiconductors and Software - Application industry benchmarks.

Net Profit Margin

ADI

18.65%

Semiconductors Industry

Max
51.69%
Q3
19.67%
Median
8.56%
Q1
-5.44%
Min
-38.60%

ADI’s Net Profit Margin of 18.65% is aligned with the median group of its peers in the Semiconductors industry. This indicates its ability to convert revenue into profit is typical for the sector.

ADSK

18.53%

Software - Application Industry

Max
48.14%
Q3
16.07%
Median
1.83%
Q1
-9.60%
Min
-45.64%

A Net Profit Margin of 18.53% places ADSK in the upper quartile for the Software - Application industry, signifying strong profitability and more effective cost management than most of its peers.

ADI vs. ADSK: A comparison of their Net Profit Margin against their respective Semiconductors and Software - Application industry benchmarks.

Operating Profit Margin

ADI

22.71%

Semiconductors Industry

Max
58.03%
Q3
22.12%
Median
8.40%
Q1
-3.73%
Min
-36.14%

An Operating Profit Margin of 22.71% places ADI in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ADSK

20.29%

Software - Application Industry

Max
51.67%
Q3
15.35%
Median
1.79%
Q1
-12.42%
Min
-45.17%

An Operating Profit Margin of 20.29% places ADSK in the upper quartile for the Software - Application industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ADI vs. ADSK: A comparison of their Operating Margin against their respective Semiconductors and Software - Application industry benchmarks.

Profitability at a Glance

SymbolADIADSK
Return on Equity (TTM)5.22%45.55%
Return on Assets (TTM)3.87%11.11%
Return on Invested Capital (TTM)4.52%16.53%
Net Profit Margin (TTM)18.65%18.53%
Operating Profit Margin (TTM)22.71%20.29%
Gross Profit Margin (TTM)56.84%90.53%

Financial Strength

Current Ratio

ADI

2.08

Semiconductors Industry

Max
9.10
Q3
5.23
Median
3.09
Q1
2.49
Min
1.02

ADI’s Current Ratio of 2.08 falls into the lower quartile for the Semiconductors industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ADSK

0.65

Software - Application Industry

Max
5.09
Q3
2.84
Median
1.70
Q1
1.12
Min
0.04

ADSK’s Current Ratio of 0.65 falls into the lower quartile for the Software - Application industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ADI vs. ADSK: A comparison of their Current Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Debt-to-Equity Ratio

ADI

0.21

Semiconductors Industry

Max
0.97
Q3
0.46
Median
0.21
Q1
0.05
Min
0.00

ADI’s Debt-to-Equity Ratio of 0.21 is typical for the Semiconductors industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ADSK

0.90

Software - Application Industry

Max
1.85
Q3
0.77
Median
0.18
Q1
0.05
Min
0.00

ADSK’s leverage is in the upper quartile of the Software - Application industry, with a Debt-to-Equity Ratio of 0.90. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ADI vs. ADSK: A comparison of their D/E Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Interest Coverage Ratio

ADI

7.01

Semiconductors Industry

Max
36.25
Q3
29.12
Median
7.01
Q1
-1.22
Min
-18.18

ADI’s Interest Coverage Ratio of 7.01 is positioned comfortably within the norm for the Semiconductors industry, indicating a standard and healthy capacity to cover its interest payments.

ADSK

184.00

Software - Application Industry

Max
39.23
Q3
8.55
Median
1.48
Q1
-14.59
Min
-39.97

With an Interest Coverage Ratio of 184.00, ADSK demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software - Application industry. This stems from either robust earnings or a conservative debt load.

ADI vs. ADSK: A comparison of their Interest Coverage against their respective Semiconductors and Software - Application industry benchmarks.

Financial Strength at a Glance

SymbolADIADSK
Current Ratio (TTM)2.080.65
Quick Ratio (TTM)1.510.65
Debt-to-Equity Ratio (TTM)0.210.90
Debt-to-Asset Ratio (TTM)0.150.22
Net Debt-to-EBITDA Ratio (TTM)1.250.35
Interest Coverage Ratio (TTM)7.01184.00

Growth

The following charts compare key year-over-year (YoY) growth metrics for ADI and ADSK. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ADI vs. ADSK: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ADI vs. ADSK: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ADI vs. ADSK: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ADI

1.55%

Semiconductors Industry

Max
6.48%
Q3
0.93%
Median
0.00%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.55%, ADI offers a more attractive income stream than most of its peers in the Semiconductors industry, signaling a strong commitment to shareholder returns.

ADSK

0.00%

Software - Application Industry

Max
3.66%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ADSK currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ADI vs. ADSK: A comparison of their Dividend Yield against their respective Semiconductors and Software - Application industry benchmarks.

Dividend Payout Ratio

ADI

101.60%

Semiconductors Industry

Max
204.29%
Q3
31.85%
Median
0.00%
Q1
0.00%
Min
0.00%

ADI’s Dividend Payout Ratio of 101.60% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.

ADSK

0.00%

Software - Application Industry

Max
81.09%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ADSK has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ADI vs. ADSK: A comparison of their Payout Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Dividend at a Glance

SymbolADIADSK
Dividend Yield (TTM)1.55%0.00%
Dividend Payout Ratio (TTM)101.60%0.00%

Valuation

Price-to-Earnings Ratio

ADI

66.56

Semiconductors Industry

Max
86.15
Q3
47.38
Median
27.87
Q1
18.89
Min
4.73

A P/E Ratio of 66.56 places ADI in the upper quartile for the Semiconductors industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

ADSK

57.62

Software - Application Industry

Max
194.31
Q3
98.56
Median
51.87
Q1
22.76
Min
1.02

ADSK’s P/E Ratio of 57.62 is within the middle range for the Software - Application industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ADI vs. ADSK: A comparison of their P/E Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Forward P/E to Growth Ratio

ADI

4.01

Semiconductors Industry

Max
4.73
Q3
2.80
Median
1.11
Q1
0.68
Min
0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

ADSK

4.33

Software - Application Industry

Max
15.44
Q3
6.57
Median
2.78
Q1
0.55
Min
0.00

ADSK’s Forward PEG Ratio of 4.33 is within the middle range of its peers in the Software - Application industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ADI vs. ADSK: A comparison of their Forward PEG Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Price-to-Sales Ratio

ADI

12.42

Semiconductors Industry

Max
21.96
Q3
10.21
Median
4.45
Q1
2.32
Min
0.48

ADI’s P/S Ratio of 12.42 is in the upper echelon for the Semiconductors industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ADSK

10.67

Software - Application Industry

Max
23.49
Q3
11.14
Median
5.62
Q1
2.84
Min
0.33

ADSK’s P/S Ratio of 10.67 aligns with the market consensus for the Software - Application industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ADI vs. ADSK: A comparison of their P/S Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Price-to-Book Ratio

ADI

3.48

Semiconductors Industry

Max
13.12
Q3
6.49
Median
3.31
Q1
1.74
Min
0.23

ADI’s P/B Ratio of 3.48 is within the conventional range for the Semiconductors industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ADSK

25.89

Software - Application Industry

Max
21.03
Q3
10.49
Median
6.36
Q1
2.89
Min
0.12

The P/B Ratio is often not a primary valuation metric for the Software - Application industry.

ADI vs. ADSK: A comparison of their P/B Ratio against their respective Semiconductors and Software - Application industry benchmarks.

Valuation at a Glance

SymbolADIADSK
Price-to-Earnings Ratio (P/E, TTM)66.5657.62
Forward PEG Ratio (TTM)4.014.33
Price-to-Sales Ratio (P/S, TTM)12.4210.67
Price-to-Book Ratio (P/B, TTM)3.4825.89
Price-to-Free Cash Flow Ratio (P/FCF, TTM)37.0242.18
EV-to-EBITDA (TTM)32.8445.70
EV-to-Sales (TTM)12.9110.76